As September came to a close analysts described the NASDAQ’s performance as a “perfect storm” and “a ‘Nightmare on Elm Street’ month”. The NASDAQ, which gets about 40% of its value from just a handful of technology stocks, lost more than 5% in September. Apple, which had managed to weather the Covid-19 pandemic relatively unscathed, closed down -10.25% from the closing price on Aug. 31. Prudential Financial chief market strategist Quincy Krosby stated, “There were many elements in the market this September that aligned themselves to basically go from an overbought situation for the mega cap tech names to now become oversold.” A graphic summary of the September carnage in many of the leading mega-tech stocks are shown below. (chart: CNBC.com)
Tech Stocks Struggle
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October 06, 2020